Fuel Price drops prompts rollback


A May 10, 2011 press release by the Department of Energy
Oil companies in the Philippines implemented a price rollback on May 8, 2011 following a drop of the prices in the international oil market.
Kerosene was significantly slashed by P2.00 and diesel by P1.75 per liter. In other pump products, a decrease of P0.50 per liter for unleaded gas was effected and regular gasoline has been reduced by P1.25 per liter.
Energy Undersecretary Jose M. Layug said, “The decline in oil prices in the international market is attributed to the build in U.S. crude stocks and a broad decline in commodities after a disappointing U.S. economic data and a tighter Chinese monetary policy. Notwithstanding that petroleum products being sold on retail right now were bought at a high price, a rollback was immediately implemented to reflect the price drop of US$ 5 over a two-week average per barrel to reflect current international market prices.
The DOE has assured that in order to achieve its mandate to ensure a truly competitive market under a regime of fair prices, it will continue to closely monitor oil pump prices in the country and determine if the movements are reflective of international price movements and within the bounds of the Oil Deregulation Law.

No comments:

Post a Comment